Bit? Coin? Bitcoin?
Maybe you’ve heard of Bitcoin? Its stumbled into the news recently with high profile real estate listings willing to accept this digital currency that not many people of ever heard of.
So what is Bitcoin? according to
Lifehacker.com, Bitcoin is here to shake the entire global economy, and has become the financial bubble du jour with a skyrocketing value. It’s online money—an alternative to dollars and euros. Well what’s that mean? It’s complicated, but we break it down.
Bitcoin is an anonymous digital currency…
Bitcoin is not real money. It’s an online “currency”—virtual tokens that can be exchanged for goods and services at places that accept it, the same way you’d give someone a dollar for a cookie. But unlike a dollar, a Bitcoin has no serial number or any possible mechanism that could be used to trace it back to a buyer or seller. This makes it attractive to drug dealers and/or privacy advocates.
So what does this have to do with Real Estate? Several people are now offering their homes for sale and they are willing to take Bit Coin, financing and they also take traditional dollars.
NYDaily News reports
Virtual real estate: An anonymous owner of a Trump SoHo Hotel condo is offering his property up on a high-end Bitcoin sale site; the condo is valued at $1.9 million. This luxury condo in the Trump SoHo can be yours — all for the low price of around 24,700 Bitcoins.
That’s by far the biggest-ticket item ever offered for sale in the virtual currency.
Several other properties have been listed as well and real estate may become a norm for the currency itself. The website Bitcoin.it records the currencies “firsts” from the first car sold, to chiropractors in an Fransisco accepting it. More here.
So what is Bitcoin really worth? Well this can be hard to determine because its not currently based on a physical source but more on supply and demand. Movoto.com now offers a Bitcoin calculator so you can offer your listings for Bitcoin.
A real estate listing offered at $150,000 coverts to 1359 Bitcoin which comes out to approx. $110.40 (at the time of writing) and fluctuates daily depends on the movement of this digital currency. Convert your properties here at movoto.
Would you advise against this if a client asked you to list via Bitcoin? Would you feel comfortable taking a new currency? Let us know in the comments.